SUBSEQUENT EVENTS

12 Months Ended

Dec. 31, 2015

14. SUBSEQUENT EVENTS

Purchase of Corticotropin and Corticotropin-Zinc NDAs

In September 2015, we entered into an asset purchase agreement with Merck Sharp & Dohme B.V. to purchase the right, title, and interest in the NDAs for Corticotropin and Corticotropin-Zinc, as well as associated product rights and manufacturing licenses, for $75.0 million in cash and a percentage of future net sales of the products under the NDAs. The asset acquisition closed in January 2016, and we made the $75.0 million cash payment using cash on hand. In addition, we capitalized $0.3 million of costs directly related to the transaction. The $75.3 million NDA assets will be amortized over their 10 year useful lives, and will be tested for impairment when events or circumstances indicate that the carrying value of the assets may not be recoverable.

Purchase of Distribution Rights and Early Stage Development Project

In January 2016, we entered into an agreement to purchase the exclusive U.S. distribution rights for three products from H2-Pharma, LLC, as well as an early stage development project for a generic injectable drug product, for $10.0 million in consideration.

Purchases under Stock Repurchase Program

In January 2016, we purchased 65 thousand shares for $2.5 million under our stock repurchase program, which program was authorized by our Board of Directors in October 2015.